Help on Oanda, DD or NDD?

Broker Discussion
1

Hi Forum, I wanted to see if you guys can help me out. I have done a lot of reading on these forums so far and done a lot of googling and some things are still a bit unclear when it comes to dealing desks and non dealing desks and Oanda. Let me state things I understand and please correct me if I am wrong in any of them…

  1. A DD broker takes the other side of your position. My understanding of that is that if you go long on EUR/USD, they will sell you the EURO, take your USD, and hope you lose because if you make money (i.e. EUR/USD moves up, then they have to take money out of their pocket and pay you back. With that said I dont understand what “fixed spread” has to do with anything here. I keep hearing DD have fixed spreads. are Oandas spreads fixed? I see their spreads increase once trading ours are closed,

  2. is Oanda a DD or NDD? here: Oanda Pricing they offer two options, Spread only pricing and core pricing + commission. This completely mind F**ks me because I am reading on here that NDD charge comission and DD do not. So are they a DD and NDD?

  3. how does one choose to pick which pricing they want. I figure how does someone even get to choose that.

2

A dealing desk broker is generally a b book broker that means they will play against your trades. In case they have 2 set ups there is a possibility that they are trying to offer pure spreads along with commissions. However, it can be said that if they are a b book broker, the spreads cannot be “Core”. I would suggest you to go with a broker which only offers pure accounts with commission. Paying commission is always better that being charged spreads which are never fixed.

3

So is oanda DD or NDD? does anyone know if their spreads are fixed?